25.83 USD
-0.4 (-1.52%)
25.83 USD
0 (0%)
Taking everything into account, DBX scores 6 out of 10 in our fundamental rating. DBX was compared to 278 industry peers in the Software industry. DBX has an excellent profitability rating, but there are concerns on its financial health. DBX may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
- DBX had positive earnings in the past year.
- In the past year DBX had a positive cash flow from operations.
- DBX had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years DBX had a positive operating cash flow.
1.2 Ratios
- DBX's Return On Assets of 17.97% is amongst the best of the industry. DBX outperforms 94.24% of its industry peers.
- DBX's Return On Invested Capital of 59.34% is amongst the best of the industry. DBX outperforms 99.64% of its industry peers.
- DBX had an Average Return On Invested Capital over the past 3 years of 17.97%. This is significantly above the industry average of 10.76%.
- The last Return On Invested Capital (59.34%) for DBX is above the 3 year average (17.97%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.97% | ||
| ROE | N/A | ||
| ROIC | 59.34% |
ROA(3y)15.53%
ROA(5y)9.34%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)17.97%
ROIC(5y)15.1%
1.3 Margins
- Looking at the Profit Margin, with a value of 19.87%, DBX belongs to the top of the industry, outperforming 83.45% of the companies in the same industry.
- DBX's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 24.57%, DBX belongs to the top of the industry, outperforming 89.93% of the companies in the same industry.
- DBX's Operating Margin has improved in the last couple of years.
- DBX's Gross Margin of 80.66% is amongst the best of the industry. DBX outperforms 82.01% of its industry peers.
- DBX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.57% | ||
| PM (TTM) | 19.87% | ||
| GM | 80.66% |
OM growth 3Y10.3%
OM growth 5YN/A
PM growth 3Y4.48%
PM growth 5YN/A
GM growth 3Y1.29%
GM growth 5Y1.86%
2. Health
2.1 Basic Checks
- DBX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- Compared to 1 year ago, DBX has less shares outstanding
- The number of shares outstanding for DBX has been reduced compared to 5 years ago.
- Compared to 1 year ago, DBX has a worse debt to assets ratio.
2.2 Solvency
- DBX has an Altman-Z score of 0.41. This is a bad value and indicates that DBX is not financially healthy and even has some risk of bankruptcy.
- The Altman-Z score of DBX (0.41) is worse than 69.42% of its industry peers.
- The Debt to FCF ratio of DBX is 3.10, which is a good value as it means it would take DBX, 3.10 years of fcf income to pay off all of its debts.
- DBX's Debt to FCF ratio of 3.10 is fine compared to the rest of the industry. DBX outperforms 63.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.1 | ||
| Altman-Z | 0.41 |
ROIC/WACC5.95
WACC9.97%
2.3 Liquidity
- DBX has a Current Ratio of 0.57. This is a bad value and indicates that DBX is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Current ratio of DBX (0.57) is worse than 92.09% of its industry peers.
- A Quick Ratio of 0.57 indicates that DBX may have some problems paying its short term obligations.
- DBX's Quick ratio of 0.57 is on the low side compared to the rest of the industry. DBX is outperformed by 91.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 26.32% over the past year.
- Measured over the past years, DBX shows a very strong growth in Earnings Per Share. The EPS has been growing by 38.64% on average per year.
- Looking at the last year, DBX shows a decrease in Revenue. The Revenue has decreased by -0.44% in the last year.
- The Revenue has been growing by 8.93% on average over the past years. This is quite good.
EPS 1Y (TTM)26.32%
EPS 3Y17.94%
EPS 5Y38.64%
EPS Q2Q%23.33%
Revenue 1Y (TTM)-0.44%
Revenue growth 3Y5.7%
Revenue growth 5Y8.93%
Sales Q2Q%-0.69%
3.2 Future
- DBX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.92% yearly.
- DBX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.17% yearly.
EPS Next Y13.95%
EPS Next 2Y10.56%
EPS Next 3Y9.38%
EPS Next 5Y2.92%
Revenue Next Year-1.17%
Revenue Next 2Y-0.9%
Revenue Next 3Y-0.81%
Revenue Next 5Y-1.17%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 8.97, which indicates a very decent valuation of DBX.
- 88.85% of the companies in the same industry are more expensive than DBX, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 28.60, DBX is valued rather cheaply.
- A Price/Forward Earnings ratio of 8.42 indicates a reasonable valuation of DBX.
- 90.29% of the companies in the same industry are more expensive than DBX, based on the Price/Forward Earnings ratio.
- DBX's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.97 | ||
| Fwd PE | 8.42 |
4.2 Price Multiples
- 87.05% of the companies in the same industry are more expensive than DBX, based on the Enterprise Value to EBITDA ratio.
- DBX's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DBX is cheaper than 95.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.3 | ||
| EV/EBITDA | 10.96 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- DBX has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.64
PEG (5Y)0.23
EPS Next 2Y10.56%
EPS Next 3Y9.38%
5. Dividend
5.1 Amount
- DBX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
DROPBOX INC-CLASS A / DBX FAQ
What is the ChartMill fundamental rating of DROPBOX INC-CLASS A (DBX) stock?
ChartMill assigns a fundamental rating of 6 / 10 to DBX.
Can you provide the valuation status for DROPBOX INC-CLASS A?
ChartMill assigns a valuation rating of 9 / 10 to DROPBOX INC-CLASS A (DBX). This can be considered as Undervalued.
Can you provide the profitability details for DROPBOX INC-CLASS A?
DROPBOX INC-CLASS A (DBX) has a profitability rating of 9 / 10.
What is the expected EPS growth for DROPBOX INC-CLASS A (DBX) stock?
The Earnings per Share (EPS) of DROPBOX INC-CLASS A (DBX) is expected to grow by 13.95% in the next year.